Indiagold launches EMI-based gold buying product ‘EasyGold’
Fintech platform for digital gold services, Indiagold, on Tuesday announced the full-scale launch of its third product, EasyGold, which allows users to purchase the precious metal digitally, in monthly installments equivalent (EMI) of three to nine months.
Indiagold, which has piloted the product for 3 to 4 months, has partnered with precious metals management company Augmont Gold for the service and has already received nearly 1,500 orders during its pilots.
Citing the key product differentiator, the startup said EasyGold allows users to lock in the price of the total gold they are looking to buy, paying 20% of the order value up front. This further insulates consumers from any future appreciation or depreciation in asset prices.
Users can then pay the remaining amount in monthly installments spread evenly over three, six, or nine months. On top of that, EasyGold allows users to buy gold for banknotes as low as Rs5,000, with the end product being shipped to the consumer’s doorstep.
Currently, users have the ability to purchase gold digitally through EasyGold, in the form of gold coins, bracelets, earrings, and chains, on the Indiagold website and its Android and iOS apps.
“Our target audience is completely different from existing products, as we not only deliver the products in digital form, but we also exploit the bottom of the pyramid segment and the first earners who are not subject to income tax. To make the product more lucrative for these segments, we have introduced different gold form factors through simple ornaments. But we are not a jewelry startup, ”said Deepak Abbot, co-founder of Indiagold.
Currently, most of EasyGold’s customers are from Level II and III geographies, with 60% of the South Indian population residing in cities such as Vijayawada and Warangal, Abbot said. mint.
Customers can also choose to cancel their gold purchase at any time, after paying Indiagold a 2% commission, the company added.
Indiagold has also partnered with India Post as well as Blue Dart to enable deliveries of EasyGold products, on all PIN codes in India. It also provides free delivery insurance for door-to-door deliveries all over India, the company said.
The company plans to expand this product to 500 orders per month, over the coming year.
“EasyGold allows customers to buy gold within their budget, without worrying about rising gold prices or purity. to branded jewelry. So we are solving both their consumer and credit needs, ”said Nitin Misra, co-founder of Indiagold.
Indiagold, which was founded in 2020 by former Paytm executives Misra and Abbot, also offers instant home loans for gold and jewelry, as well as an offline gold locker service for a commission. monthly of 99 Rs.
The company provides loans against collateral in gold at an annual interest rate of 9% to 14% and has already provided nearly 16 crore rupees of credit to customers. Its two home-based “gold loan” and “gold locker” products are currently operational in the Delhi and National Capital (RCN) region. He plans to expand these offers to five new cities this year.
According to Indiagold’s estimates, around 240 million of India’s 290 million households have gold products.
Recent data from the Ministry of Commerce shows that gold imports fell 3.3% to $ 26.11 billion in April-February 2020-21.
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